Lock on credit then apply
Tuesday, October 27th, 2009
Devin Dozier asked:
Any consumer in the United States could freeze the credit report of all the three credit reporting agencies, Equifax, Experian, and TransUnion. If the credit reports are locked, then it would be very difficult for another person to open an account in your name or obtain a loan in your name. However, even you would not be able to open an account for yourself as long as the lock is in place. This is because the lenders, employers, insurers, and others would not be able to access the credit report file and find out anything about you.
As such, ‘lock on credit then apply’ is a difficult process. If you wish to apply for credit or loan, you would have to furnish the credit reporting companies a special identification number. You would also need to provide them a few days notice to lift the lock. In the United States, eleven states had not passed appropriate laws to allow their citizens the facility of ‘lock on credit then apply’. Still, all the three credit reporting agencies extend credit report lock facility in all the states of US.
When you choose the option of locking your credit report, you would be able to utilize all the current credit facilities that you have. The lenders of your present credits would also be able to look at your credit reports. On the other hands, others would not be able to browse through your credit reports. This would make stealing your credit report and your identity virtually impossible. If a lender is approached by another person with your stolen identity, then the lender would find out that your credit report had been locked. The lender should take extra steps to verify the identity of the person requesting credit and establish the genuineness. This would prevent theft of your identity and credit report. Unfortunately, many consumers in US are not aware of this useful ‘lock on credit then apply’ opportunity.
RAPHAEL
Any consumer in the United States could freeze the credit report of all the three credit reporting agencies, Equifax, Experian, and TransUnion. If the credit reports are locked, then it would be very difficult for another person to open an account in your name or obtain a loan in your name. However, even you would not be able to open an account for yourself as long as the lock is in place. This is because the lenders, employers, insurers, and others would not be able to access the credit report file and find out anything about you.
As such, ‘lock on credit then apply’ is a difficult process. If you wish to apply for credit or loan, you would have to furnish the credit reporting companies a special identification number. You would also need to provide them a few days notice to lift the lock. In the United States, eleven states had not passed appropriate laws to allow their citizens the facility of ‘lock on credit then apply’. Still, all the three credit reporting agencies extend credit report lock facility in all the states of US.
When you choose the option of locking your credit report, you would be able to utilize all the current credit facilities that you have. The lenders of your present credits would also be able to look at your credit reports. On the other hands, others would not be able to browse through your credit reports. This would make stealing your credit report and your identity virtually impossible. If a lender is approached by another person with your stolen identity, then the lender would find out that your credit report had been locked. The lender should take extra steps to verify the identity of the person requesting credit and establish the genuineness. This would prevent theft of your identity and credit report. Unfortunately, many consumers in US are not aware of this useful ‘lock on credit then apply’ opportunity.
RAPHAEL
